Most dollar bonds issued by the Adani group of companies won for a second day on Wednesday after the flagship sold $2.5 billion worth of shares in a follow-up offering that was fully subscribed.
The 2024 note of Adani green energy Ltd. gained nearly 5 cents on the dollar to 80.9 cents as of 9:35 a.m. in Hong Kong, recovering from a slump to a record low earlier in the week. Eleven of the group’s 15 dollar-denominated bonds were also higher.
The offerings of flagship company Adani Enterprises Ltd. was India’s largest sale of follow-on shares and was fully subscribed on the last day. It may allay investor concerns Adani faced after allegations of fraud by short sellers Hindenburg investigation threw the group into turmoil.
The conglomerate, backed by Asia’s richest person, has also put in millions of dollars worth of stock to maintain its collateral for a $1 billion loan after a steep sell-off of shares across the business empire, according to people familiar with the matter. .
Still, even after the rally, the yield on 2024 Adani Green Energy bonds is still close to 20%. The group could struggle to tap into the bond market in the near term given governance concerns, according to a report from Bloomberg intelligence.
The 2024 note of Adani green energy Ltd. gained nearly 5 cents on the dollar to 80.9 cents as of 9:35 a.m. in Hong Kong, recovering from a slump to a record low earlier in the week. Eleven of the group’s 15 dollar-denominated bonds were also higher.
The offerings of flagship company Adani Enterprises Ltd. was India’s largest sale of follow-on shares and was fully subscribed on the last day. It may allay investor concerns Adani faced after allegations of fraud by short sellers Hindenburg investigation threw the group into turmoil.
The conglomerate, backed by Asia’s richest person, has also put in millions of dollars worth of stock to maintain its collateral for a $1 billion loan after a steep sell-off of shares across the business empire, according to people familiar with the matter. .
Still, even after the rally, the yield on 2024 Adani Green Energy bonds is still close to 20%. The group could struggle to tap into the bond market in the near term given governance concerns, according to a report from Bloomberg intelligence.